xStocks

Issued by Backed Assets (JE) Limited, a Jersey-incorporated special purpose vehicle registered with the Jersey Financial Services Commission (JFSC), holding the COBO and CGPO consents required to issue security tokens. Each xStock is a bearer debt instrument classified as a tracker certificate under a base prospectus approved by Liechtenstein's FMA, passportable across the EEA under the EU Prospectus Regulation. RESOLVED: the commercial parent, Backed Finance AG, was acquired by Kraken — the deal has closed (confirmed via Backed's own legal counsel announcing a completed acquisition on Dec 4, 2025, and Jersey law firm Walkers stating in a Dec 9, 2025 release that 'Kraken acquired Backed Assets (JE) Limited'). The Jersey issuing SPV's name and current public docs are unchanged post-acquisition.

No shareholder voting rights. xStocks are structured financial instruments providing economic exposure only; the issuer's own docs state explicitly that they do not confer shareholder voting rights.

No cash distribution. Dividends received by the custodian are reinvested into additional units of the same underlying equity, net of applicable withholding taxes, and reflected on-chain via the multiplier rebase.

On-chain rebasing via a 'multiplier' that starts at 1.0 and adjusts for dividends (increase), forward splits (increase) and reverse splits (decrease). The new multiplier activates at 00:30 UTC the day after the corporate action's Ex-Date. Implementation differs by chain: EVM contracts adjust balanceOf() automatically; Solana uses the Token-2022 Scaled UI extension (raw balance constant, multiplier applied for display); TON works the same way via jetton metadata.

Underlying equities held with regulated custodians/brokers in dedicated, asset-by-asset segregated sub-accounts with no commingling between products. Collateral accounts are governed by a three-party Account Control Agreement between the issuer, the custodian/broker, and an independent Security Agent, who can take control of the collateral and liquidate it for token holders' benefit on issuer default.

Publicly available via the xStocks DeFi portal (defi.xstocks.fi/proof-of-reserves).

Direct issuer redemption (retail permitted) requires onboarding/KYC and a $5,000 minimum transaction size, via stablecoin or in-kind (xPort) flows, operating 24/5 aligned with US market hours. Secondary-market trading is 24/7 and needs no issuer interaction.

Primary-market issuance/redemption requires KYC/AML onboarding and wallet whitelisting. Secondary-market trading is permissionless once tokens exist. Not marketed, offered, or solicited in the US or to US persons.

Issued natively on Ethereum, Solana, Arbitrum, Mantle, TON, Ink, and other EVM-compatible networks. A CCIP-based bridge moves tokens between supported chains without a sell/buy round-trip.